Eurobank’s Bulgarian subsidiary (Postbank) has completed the acquisition of Piraeus Bank’s subsidiary Piraeus Bank Bulgaria (PBB) for €75m (£66.7m).
Image: Eurobank has completed acquisition of Piraeus Bank Bulgaria. Photo: courtesy of Adam Radosavljevic from Pixabay.
The deal will enable Postbank to strengthen its position in the Bulgarian banking market with a pro-forma market share in excess of 10%, helping to maintain capital adequacy and liquidity, as well as rank third in terms of total loans.
Eurobank said that the PBB customers will continue to receive services through the same service network and in the near future, during which the operational integration is expected to be completed and can also use the extended Postbank branch network.
Eurobank deputy CEO and Group chief operating officer Stavros Ioannou said: “The acquisition of PBB is a major milestone in implementing our strategy to focus on markets where we can have leading positions. We are delighted to welcome PBB clients and staff to our Group.
“We are determined to deliver as soon as possible on the full integration of the two banks, which will allow us to best serve our present and future clients, households and businesses, with an enhanced network and a cutting-edge digital offering.”
Founded in 1993, Piraeus Bank Bulgaria is said to be the first foreign bank in Bulgaria. The bank offers a range of services to the Bulgarian financial market, including corporate banking, retail banking, financial services for SMEs, capital markets and investment banking.
Piraeus Bank Bulgaria provides a range of products and services via its established and strategically selected branch network.
The bank also manages business centres in Sofia, Varna, Stara Zagora, Blagoevgrad, Burgas, Pleven and Ruse, as part of its efforts to better serve its customers.
Piraeus Bank CEO Christos Megalou said: “The Transaction represents the last major milestone towards the conclusion of Piraeus Bank’s Restructuring Plan commitments, as those were agreed with the European Commission.
“It has a positive impact on our capital base, enabling further the Bank’s capital enhancement strategy and focus on core banking operations.”